Industry initiatives to improve the long short sale approval process have apparently had little overall effect on short sale closing times. According to a study by data analytics firm Equi-Trax Asset Solutions, 71% of real estate agents surveyed said it still takes four to nine months to complete a short sale. Some 600 Realtors took part in the study.

Approximately 10% reported closings taking more than 10 months. Just over 18% said short sales were finalized in the three-month time frame.

Equi-Trax CEO Guy Taylor summed up agents’ frustrations when working on short sales by saying, “They would like to see the time period reduced so that deals go through faster and are less costly.”

So what will solve the time lag?

·        14% of agents surveyed believe borrowers need betters education on how the short sale process works

·        57.6% feel lenders should take less time in getting these deals closed

·        40% of respondents think both these changes are needed to reduce short sale times

Taylor further theorized about the short sale process. “One way to speed the process and help all parties involved in these deals is to ensure that valuations are accurate and current. If they are not, the willingness to complete these deals will be reduced, and the time they take to complete will increase. That means unnecessary expenses for borrowers and lenders.”

HAFA is supposed to be improving response times. In our office, we’re seeing some improvements but often only if we diligently and repeatedly follow up, follow up, and then follow up some more!